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February 23, 1957


JAMA. 1957;163(8):659-660. doi:10.1001/jama.1957.82970430010019a

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Contracts in Restraint of Professional Practice.—  This was an action by a retiring partner to recover certain accounts receivable of a medical partnership. From an adverse judgment, the plaintiff appealed to the district court of appeals, 1st district, division 2, California.The plaintiff physician joined the staff of the San Mateo Clinic on January 1, 1940, and became a partner the following year. Partnership agreements were executed in 1941 and again in 1942. The pertinent change in the 1942 agreement, which was to terminate in 1950, was the provision that a retiring partner was entitled to receive a share of the accounts receivable, payable monthly, "only so long as he shall not engage in the practice of the medical profession within the cities of San Mateo, Burlingame, and/or Hillsborough, and that upon so engaging in such medical practice within any of the said cities, his right to any of the unpaid money from the partnership shall automatically cease and terminate." The plaintiff signed this agreement. In 1943, after the plaintiff had entered the military service, a new partnership agreement was executed incorporating the terms of the 1942 agreement.

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